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August 26, 2015

Stocks and Bonds: The Impossible Double Bubbles

In the past; readers have been alerted to numerous “impossible” trends in our markets and economies, all manufactured by the Western banking crime syndicate. Here are just a few of those highlights (low-lights?)
a) It’s impossible for Western bond prices to be at all-time highs. Western nations have never been less-solvent (i.e. obviously bankrupt). The less-solvent the debtor, the higher the rate of interest the debtor is (supposed to be) forced to pay, and bond prices and interest rates are precisely inverse to each other. Interest rates should be at all-time highs; bond prices should be at all-time lows. Obvious fraud.
b) It’s impossible for our markets to move like one, gigantic, synchronized yo-yo; every minute of every hour of every day. Markets diverge, it’s what they do. When we see prices move together in near-perfect clockwork, we know we no longer have “markets”. Obvious fraud.
c) It’s impossible for precious metals prices to fall below the cost of production – and stay there – with large supply-deficits in both the gold and silver market. There is literally only one, possible “cure” for a supply-deficit: higher prices. These markets are being (permanently) prevented from doing what they must do. Obvious fraud.
Note also that all of these “impossible” trends are separate from the multi-billion and multi-trillion dollar mega-crimes which these same financial criminals are caught perpetrating, on a near-daily basis (and are allowed to continue to perpetrate):
1) They were caught conspiring to serially rig the $500 trillion LIBOR debt market.
2) They were caught conspiring to serially rig the $5 trillion/day global currency market.
3) They were caught conspiring to serially rig the “gold fix”.
4) They were caught conspiring to serially rig the “silver fix”.
5) They were caught conspiring to serially rig base metals markets.
6) They were caught conspiring to serially launder $TRILLIONS for the drug cartels and “terrorist” organizations. Isn’t there supposed to be a “War on Drugs”? Isn’t there supposed to be a “War on Terror”? Why do these criminals get a free pass?
[Meanwhile, the Lemmings continue to scoff at “conspiracy theories”.]
But all of these “impossible” (i.e. fraudulent) developments in our economies, and all these mega-crimes that are swept under the carpet by our puppet governments pale in significance next to the greatest impossibility/insanity of all: the co-bubbles in Western stocks and bonds, and more specifically the incredibly gigantic (simultaneous) stock- bubble and bond-bubble in the U.S.
Stock prices and bond prices can never rise together, in any legitimate marketplace. Period.
U.S. stock prices are at all-time highs. U.S. bond prices are at all-time highs. This is market fraud to (literally) the ultimate extreme. Why can stock prices and bond prices never rise together? The bankers have been explaining this to us, for decades.
Stocks are the “speculative investment”. It’s where investor dollars flow and concentrate when investors are feeling confident and “bullish” about the marketplace. Bonds are the “conservative investment”. It’s where investor dollars flow and concentrate when investors are feeling pessimistic and “bearish” about markets. That’s the real world.
Then we have our ultra-corrupt, fantasy-world, where (impossibly) the U.S. has both a gigantic 6 ½ year-old stock bubble, and a more-gigantic, bond bubble in its Treasuries market which is arguably much, much older. Absolutely impossible. Ultimate fraud.
What do the criminals (i.e. bankers) tell us today, with markets which totally violate everything they had been previously telling us, going back at least a quarter-century? The criminals tell us that investors are “bullish” and “bearish” right now, at the same time. To frame it differently; the market is (supposedly) “hot” and “cold” at the same time. Absurd. Impossible.
We have a word for when you mix “hot” and “cold” together: lukewarm. Here’s the point.If the criminals were actually telling the truth (for the first time, ever) and investors really were “bullish” and bearish” at the same time, we wouldn’t see U.S. stock markets and the U.S. bond market simultaneously at all-time, bubble highs. We would see lukewarm markets, with average, stock and bond prices – reflecting what the bankers are telling us: that investors (supposedly) can’t make up their minds as to whether they are bullish or bearish.
The infantile “explanation” by the criminals on the co-bubbles in U.S. stocks and U.S. bonds is just as impossible (and nonsensical) as the bubble-prices themselves. The criminals have no explanation for these “impossible” markets.
This begs an obvious question, in terms of simple mechanics. How did the criminals create two, gigantic, simultaneous fraud-bubbles in U.S. markets, when these two bubbles (according to everything we know about markets) could never occur together – by any means?
Regular readers should be able to answer this question:

Unlike what we hear from the criminals, and their servants (our governments and regulators); this chart explains the “impossible” co-bubbles in U.S. stocks and bonds in simple and rational terms. There are five times as many “investor dollars” in U.S. markets today as there were only five years earlier. As readers know; money-printing on such an extreme, exponential level is obviously hyperinflationary – but that is a separate subjectwhich has been previously discussed on many occasions.
Suddenly, what appeared “impossible” is no longer impossible at all, merely completely fraudulent. What we see here is nothing more complex than the concept of a “rising tide”. Pour five times as much water into our oceans, and we wouldn’t simply have “high tides” all over the world, simultaneously. We would have a global tidal wave.
Now we can view the U.S.’s “bubble” markets in their correct context. Thanks to the fraud of “fractional-reserve banking”, and our even more-fraudulent, near-zero interest rates; the criminals receive, for free, every year, somewhere in excess of $100 TRILLION inWestern funny-money, most of it denominated in USD’s.
With Western markets literally flooded with this debauched, worthless, funny-money, what appeared to be the highest-of-high-tides is actually something much different. We dohave lukewarm markets – in proportion to the mountains of funny-money which the criminals are hoarding. Put another way; the criminals could have pushed these U.S. bubbles up much, much higher than their present, insane levels.
They have only deployed the tiniest portion of all their (illegal) funny-money. Most of it is hoarded in the banksters’ $1.5 QUADRILLION rigged-casino which they call “the derivatives market”. For the mathematically challenged; that is a $1,500 TRILLION hoard of illegal capital – twenty times larger than the entire, global economy.
Suddenly, we’re looking at a much different question. Instead of asking how the criminals could have pumped-up these U.S. bubbles to such incredible highs, we ask ourselves something entirely different: why haven’t the criminals pumped-up their fraud bubbles even higher – much, much higher?
There are two answers to that question, both based in practical terms. To start with; small numbers of the brainwashed Lemmings in our societies are already questioning these “impossible” fraud markets. What would they say if the Dow was up at 50,000, and the “interest paid” on U.S. Treasuries was negative 10%? What if you took markets which were already ridiculously impossible, and made prices five times, or ten times as extreme? The “jig” would be up.
But there is a second, even more-important reason why the criminals have no desire to pump-up their fraud bubbles to even more-insane levels: there is no profit in doing so. Pump-up the price of a particular stock 10,000% higher, or even an entire stock index, and it does you no good unless you can find some Chump who is willing to buy your stock at such wildly fraudulent prices.
The criminals need to ensure that the fraud-prices in their markets remain at some quasi-plausible level, or there will be no more Chumps for them to fleece. They would simply be playing with (exclusively) their own money in these fraud markets – and you can’t steal from anyone by doing that.
For most of us who still retain the capacity for rational thought, we look at the U.S.’s crime-ridden, bubble markets, and we shake our heads. We wonder how these prices could ever go so high, simultaneously, as we see with the U.S. stock-bubble and the U.S. bond-bubble.
Meanwhile, as the criminals dine on their filet mignon, and gaze out over the economic carnage they have wrought in our societies; their conversation is entirely different. They don’t “gaze in wonder” at these sky-high prices. Rather, they lament that there is no way for them to “make” (i.e. steal) even more money – by pushing their fraud markets much, much higher.
Source: Sprott Money News  

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Item Reviewed: Stocks and Bonds: The Impossible Double Bubbles Rating: 5 Reviewed By: Econ Matters